The Ethereum (ETH) Price Has Risen Due to These 3 Reasons

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On November 2, the second largest cryptocurrency, which is I ethereu (ETH) it first rose to the historic peak of $ 4,477, and then a few hours later, to $ 4,643. It is thought that there may be 3 possible reasons for these two records coming back to back.

Ethereum Active Addresses

The data, shared by the popular on-chain analysis team Santiment, has been active over the past four weeks Ethereum it shows that the number of their addresses has increased by 45%. According to the company’s analysis team, this also indicates an increase in the use of crypto currency.

However, Ethereum is still a 6-year-old cryptocurrency. ETH, seen as clones of Bitcoin Litecoin and Dogecoinit was released after the . In addition, Mike Novogratz became the first Wall Street investor to buy 500,000 ETH from Vitalik Buterin for just under $ 1 in 2015.

Also, according to Chinese crypto journalist and blogger Colin Wu, Chinese investors are starting to use Ethereum as a measure against inflation. Thus, ETH is gradually beginning to compete with Bitcoin in this area. On the other hand, Ethereum, Dapps, smart contracts and NFT it remains the leading platform for its users as well.

Ethereum Burns

According to Watchtheburn, the EIP-1559 upgrade ETH fees more than 744,000 Ethers have been burned since August 5, when it was made available through the incinerator mechanism. This corresponds to $3,244,606.96.

The implementation of the burning mechanism for ETH, which came with the London hardforku, began to turn Ethereum into a deflationary cryptocurrency. Since the release of EIP-1559, Ethereum has increased by about 33% and has become increasingly deflationary.

Another possible reason may be that CME announced the launch of micro Ethereum futures in early December.

Ethereum Hashrate

Ethereum hash rate Tuesday November 3rd reached the ATH point with 812.768 GH/s. Although ETH fees are now being burned, miners continue to be attracted to the Ethereum network, as they can be “tipped off” by network users who want their transactions to be verified faster.

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